Azerbaijani IT sector (Summary of 2017)

Information and communication services worth 1,724.6 million manat were rendered for Azerbaijan's population and organizations in 2017, which is by 6.6 percent more than in 2016.

Some 81.2 percent of revenues received through the communication sector accounted for the non-state enterprises during the reporting period.

Some 72.5 percent of the total volume of information and communication services accounted for the services rendered to the population.

Moreover, 49.6 percent of revenues obtained from the entire telecommunications market accounted for the revenues of the mobile communication sector.

Mobile communication market

Some 856.2 million manat were obtained from the mobile communication services in Azerbaijan in 2017.

The revenues increased by 4.4 percent in the mobile communication sector in 2017 compared to 2016.

In 2017, over 871,500 IMEI codes of mobile devices were registered in Azerbaijan, which is by 32.2 percent more than in 2016.

The number of registered IMEI codes of mobile devices increased by 28.2 percent in December 2017 compared to November 2017.

About 99,200 mobile devices were registered in December 2017.

The total number of IMEI codes registered via e-government portal has exceeded 2.39 million after the system was launched in Azerbaijan May 1, 2013.

PC market

The sales of portable computers (laptops, netbooks) increased by 9.6 percent in Azerbaijan in 2017, Global Stats statistical center said.

Reportedly, as of Jan. 1, 2018, the share of laptops was 58.7 percent in Azerbaijan, 15.8 percent more than in 2017.

A 9.2 percent decrease in desktop computer sales was observed in the country in 2017.

The market share of desktop computers in Azerbaijan reached 38.6 percent in late December 2017, which is by 15.2 percent less than in the same period of 2016.

Tablet computers ranked third with a share of 2.6 percent. The market share of tablet computers decreased by 31.2 percent in 2017. The share of tablets decreased by 28.5 percent as compared to 2016.

According to the State Statistics Committee's report, a computer accounts for every 21 pupils in Azerbaijan. The report includes comparative figures for 2007, when this figure was 1 to 47.

The level of computerization of secondary education institutions was 93.9 percent in Azerbaijan in 2017, 97.5 percent in cities and 92.6 percent in rural areas. The personal computer supply volume increased by 2.9 percent (approximately by 2,000) to 70,400 in 2017 compared to 2016.

According to the State Statistics Committee, for the current academic year, 52.9 percent of medium-educational institutions and 56.4 percent of schools have access to the Internet.

The computers at Azerbaijani schools will be renewed and currently, this project is under development, a source in the country's IT market said earlier. Procurement will be made on a tender basis. The total number of schools in Azerbaijan is about 4,500.

Social networks

Facebook users' activity in Azerbaijan decreased by 59.5 percent in 2017, which is a record low figure for 2017, according to Global Stats center.

As of Jan.1, 2018, Facebook's share in the Azerbaijani social media market amounted to 35.7 percent, which is by 61 percent less than in 2016. By popularity Facebook ranks first in the Azerbaijani social media market.

By popularity YouTube ranks second. Youtube users' activity increased by nearly 52.7 times in 2017. As of late 2017, YouTube's market share was 28.3 percent, which is by 34 times more than as of late 2016.

By popularity Twitter ranks third with a market share of nearly 14.54 percent. Twitter users' activity increased by nearly 4 times in 2017.

V Kontakte social network with a market share of 13.26 percent ranks fourth, followed by Pinterest social network - 4.31 percent, Instagram - 2.45 percent, Tumblr - 0.36 percent and others.

e-signature

The number of electronic digital signatures (e-signatures) issued by the Azerbaijani National Certification Services Center in 2017 increased by 26.6 percent and reached 126,726 as of January 1, 2018.

According to the message, 9,724 out of the total issued e-signatures accounted for the state organizations, 9,552 were issued to legal entities and 7,412 - to individuals.

In 2016, 23,040 e-signatures were issued, while in 2017 the number was 26,688.

According to the ministry, 75,674 e-signatures of the total number of e-signatures issued by the certification center accounted for the state organizations, 24,536 - individuals and 26,516 - legal entities.

The number of authentications and transactions conducted through e-signature exceeded 11.4 million in 2017, which is 38.4 percent of the total number of transactions since 2011 (more than 29.8 million).

Internet

The number of internet service providers in Azerbaijan declined by nearly 15 percent in recent couple of years, a source in telecommunications industry of the country said.

As the source stated, the reason is that the internet providers cannot get required channels from state-run operators in time, and so, they cannot deliver their services to end users.

"As a result those providers are forced to either stop their activity or reduce their capabilities," said the source.

More than 40 internet providers operate in Azerbaijan. As a source told Trend earlier, most of the providers are in a difficult situation due to their debts to backbone operator, Delta Telecom.

In December 2017, the number of phishing attacks in Azerbaijan's segment of Internet increased by 5.8 percent compared to November 2017, according to Netcraft analytical company's report.

The report said that one phishing attack productive for scammers accounted for 542 sites in the .az domain in Azerbaijan, which accounts for 0.18 percent of all number of online resources registered in the .az domain (over 29,000 sites), according to the report.

The analysis is based on the Netcraft Toolbar program, which is a plug-in for browsers. The program notifies users of a potentially dangerous Internet resources and prevention of a phishing attack.

According to Netcraft, one phishing attack accounted for 788 sites in Ukraine, 1,325 sites - in Uzbekistan, 676 sites - in Russia, 715 sites - in Kyrgyzstan, 732 sites - in Belarus, 328 sites - in Armenia, 795 sites - in Kazakhstan, 338 sites - in Georgia.

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